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Summer Davos to pinpoint opportunities

(China Daily)
Updated: 2009-09-09 07:53

Editor's note: Jeremy Jurgens, Senior Director of Global Growth Companies at the World Economic Forum, talked to China Daily's Yao Ying recently on preparations for Summer Davos, opening in Dalian on Thursday. Excerpts:

CD: How big is this year's Summer Davos? How is it going to help economic recovery in Asia and the world?

Jurgens: We have more than 1,300 leaders from almost 90 countries. There is a very strong representation from the business sector, as well as political representatives, academics and scientists.

The Summer Davos plays a very important role in bringing leaders together to exchange ideas, understand where are the opportunities, what are the critical policy areas to be addressed, and how they can manage to achieve growth in the current environment.

What is particularly telling is that most of the companies joining us are comfortably growing. We have a selection process to identify the global growth companies. They have strong business models, strong leadership and demonstrated growth. They have continued to grow despite the crisis.

They're like China in the sense that China is a New Champion. Its growth may have slowed, but 8 percent growth for an economy of this size is nonetheless quite impressive.

CD: What would you comment on China's performance during the financial crisis?

Jurgens: It's very impressive how China has been navigating the crisis. We have been able to observe the benefits of consistent policy-making that enables the government to quickly implement policies and achieve the growth target of 8 percent. When Premier Wen Jiabao joined us in Davos in January, he said China had set the target for 8 percent. Many people were quite skeptical: How can you achieve 8 percent growth?

But the policy decisions related to the stimulus package have been quite effective. You have everything from advancing investment in infrastructure, to strengthening the social safety net through looking more closely into pensions and health coverage.

CD: How is this Davos going to be different from the previous ones? What are the highlights?

Jurgens: Two areas deserve particular attention. One is green economy and the other is science and technology. These are important tools for business leaders to achieve growth.

CD: We're told discussions about the green economy in this summit will be centered on "the most critical investments to be made" and their immediate effect. Can you elaborate?

Summer Davos to pinpoint opportunities

Jurgens: The green economy is often associated with renewables and efforts to address climate change, but it also includes efficiency, regulatory policy, environmental protection, and so on. We believe it is important to take a broad view on the green economy, especially when energy prices are relatively lower and the topic may not get the same level of attention.

It you assume a long-term trend of gradually increasing energy prices, every step taken toward higher efficiency now will be beneficial throughout the production cycle. So companies set up assembly lines and make them more efficient. They develop minimal packaging and shipping materials, they take advantage to improve the logistical systems. These are very immediate aspects of the green economy that companies assess to reduce costs and improve efficiency.

Over the longer term, we can look into development of solar power, wind power and other renewable sectors that have longer-term benefit.

(For more biz stories, please visit Industries)

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